Bill Text: AZ HB2112 | 2016 | Fifty-second Legislature 2nd Regular | Engrossed


Bill Title: Technical event production services; exemption

Spectrum: Partisan Bill (Republican 9-0)

Status: (Engrossed - Dead) 2016-04-13 - House minority caucus: Do pass [HB2112 Detail]

Download: Arizona-2016-HB2112-Engrossed.html

 

 

 

Senate Engrossed House Bill

 

 

 

State of Arizona

House of Representatives

Fifty-second Legislature

Second Regular Session

2016

 

 

HOUSE BILL 2112

 

 

 

AN ACT

 

Amending section 23‑613.01, Arizona Revised Statutes; relating to employment status.

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 


Be it enacted by the Legislature of the State of Arizona:

Section 1.  Section 23-613.01, Arizona Revised Statutes, is amended to read:

START_STATUTE23-613.01.  Employee definition; exempt employment

A.  "Employee" means any individual who performs services for an employing unit and who is subject to the direction, rule or control of the employing unit as to both the method of performing or executing the services and the result to be effected or accomplished.  Indications of control by the employing unit include controlling the individual's hours of work, location of work, right to perform services for others, tools, equipment, materials, expenses and use of other workers and other indicia of employment, except employee does not include:

1.  An individual who performs services as an independent contractor, business person, agent or consultant, or in a capacity characteristic of an independent profession, trade, skill or occupation.

2.  An individual subject to the direction, rule or control or subject to the right of direction, rule or control of an employing unit solely because of a provision of law regulating the organization, trade or business of the employing unit.

3.  An individual or class of individuals that the federal government has decided not to and does not treat as an employee or employees for federal unemployment tax purposes.

4.  An individual if the employing unit demonstrates the individual performs services in the same manner as a similarly situated class of individuals that the federal government has decided not to and does not treat as an employee or employees for federal unemployment tax purposes.

5.  An individual to whom all of the following apply:

(a)  Performs officiating services in recreational, interscholastic or intercollegiate sporting events or contests on a contest‑by‑contest basis.

(b)  Has the ability to accept or reject assignments to officiate a sporting event or contest.

(c)  Has the right to officiate contests for multiple organizations or entities.

(d)  Is not otherwise employed by the sponsoring school, association of schools or the organization, this state, or a political subdivision of this state sponsoring the sporting event or contest.

6.  An individual to whom all of the following apply:

(a)  Performs technical event production services as defined in subsection D of this section.

(b)  Has the ability to accept or reject assignments to perform technical event production services.

(c)  Has the right to perform technical event production services for or through multiple organizations or entities.

(d)  Is not otherwise employed by the organization or entity that is coordinating, organizing or sponsoring the event at which the technical event production services are performed.

(e)  Is not otherwise employed by an organization or entity that is contracted to provide technical event production services to the organization or entity that is coordinating, organizing or sponsoring the conference, convention, trade show or corporate, business, professional, charitable or nonprofit organization event or similar event.

7.  an individual to whom all of the following apply:

(a)  performs respite care services for foster care parents under title 8, chapter 4, article 4.

(b)  has the ability to accept or reject assignments for respite care services.

(c)  has the right to perform respite care services for or through multiple organizations, entities or individuals.

(d)  is not otherwise employed by the organization, entity or individual for which respite care services are performed.

B.  For the purposes of subsection A, paragraph 5 of this section, "officiating services" means overseeing the play of a sporting event or contest, judging whether the rules are being followed and penalizing participants for infringing the rules.

C.  Subsection A, paragraph 6 of this section applies to any qualifying individual regardless of whether the individual is performing technical event production services through a direct contract with the organization or entity that is coordinating, organizing or sponsoring the conference, convention, trade show or corporate, business, professional, charitable or nonprofit organization event or similar event or through a contract with a third‑party organization or entity that is contracted to provide the technical event production services.  The qualifying individual is not an employee of the organization or entity that is coordinating, organizing or sponsoring the conference, convention, trade show or corporate, business, professional, charitable or nonprofit organization event or similar event and is not an employee of the third‑party organization or entity that is contracted to provide the technical event production services.  This section does not require an employing unit and an individual providing technical event production services to engage in the relationship provided in subsection a, paragraph 6 of this section.  An employing unit and an individual providing technical event production services may elect to engage in an employment relationship as provided by this article.

D.  For the purposes of subsection A, paragraph 6 and subsection C of this section, "technical event production services" means all services to plan, coordinate or perform the setup, operation and breakdown of a conference, convention, trade show or corporate, business, professional, charitable or nonprofit organization event or similar event, including the planning, coordinating, setting up, operating and breaking down of stages, tables, seating, displays, signs, audio equipment and visual equipment.

e.  for the purposes of subsection a, paragraph 7 of this section, "respite care services" means services for the short-term relief of a foster parent as defined in section 8-501.

C.  F.  Notwithstanding this section, an individual or class of individuals shall not be treated as an employee by the department for purposes of this chapter if, before the department's determination that the individual or class of individuals at issue is an employee:

1.  The individual or class of individuals had been performing services for the employing unit.

2.  The department had inspected work records of the employing unit for time periods that the individual or class of individuals had been performing these services.

3.  The individual or class of individuals at issue was not included on the contribution and wage reports of the employing unit.

4.  After its inspection the department concluded in writing provided to the employing unit that either:

(a)  No change or changes in the inspected reports were necessary.

(b)  The individual or class of individuals in question did not constitute an employee for purposes of this chapter.

5.  At no time between the date of the written determination prescribed in paragraph 4 of this subsection, and the department's subsequent conclusion that the individual or class of individuals at issue constitutes an employee, did the department notify the employing unit in writing that the individual or class of individuals at issue now constitutes an employee for purposes of this chapter.

D.  G.  Subsection F of this section does not apply if either:

1.  There has been a substantial and material change in the facts upon on which the writing required by subsection F, paragraph 4 of this section was based.

2.  The conclusion reached by the department pursuant to subsection  F, paragraph 4 of this section was the result of false statements, misrepresentation, fraud or intimidation on the part of the employing unit.

E.  H.  The following services are exempt employment under this chapter, unless there is evidence of direction, rule or control sufficient to satisfy the definition of an employee under subsection A of this section, which is distinct from any evidence of direction, rule or control related to or associated with establishing the nature or circumstances of the services considered pursuant to this subsection:

1.  Services which that are not a part or process of the organization, trade or business of an employing unit and which that are performed by an individual who is not treated by the employing unit in a manner generally characteristic of the treatment of employees.

2.  Services performed by an individual for an employing unit through isolated or occasional transactions, regardless of whether such services are a part or process of the organization, trade or business of the employing unit.

F.  I.  Notwithstanding this section, an individual or class of individuals determined to be an employee or employees for purposes of the federal unemployment tax act, as amended (26 United States Code sections 3301 through 3311), are employees under this chapter.

G.  J.  Notwithstanding any other provision of this chapter, this section applies to an employing unit to which the provisions of section 23‑750 apply only to the extent not inconsistent with the requirements of 26 United States Code sections 3304 (a)(6) and 3309. END_STATUTE

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